Sharing Exemptions? Not So Fast

A series of private letter rulings over the past several years seemed to indicate that a gift to a predeceased spouse would qualify for the gift tax marital deduction and enable use of that spouse's estate tax applicable exclusion amount. In Estate of Lee, the Tax Court, stating the obvious, recently held that a bequest to a predeceased spouse does not qualify for the estate tax marital deduction.

A series of private letter rulings over the past several years seemed to indicate that a gift to a predeceased spouse would qualify for the gift tax marital deduction and enable use of that spouse's estate tax applicable exclusion amount. In Estate of Lee, the Tax Court, stating the obvious, recently held that a bequest to a predeceased spouse does not qualify for the estate tax marital deduction. The Tax Court's decision, equally applicable in the gift tax marital deduction context,

All access premium subscription

Your subscription will include 12 months of Trusts & Estates magazine and access to premium content on WealthManagement.com.

Hide comments

Comments

  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
Publish